Central Louisiana News

U.S. Senator Bill Cassidy, M.D. (R-LA), addressed the U.S. Senate floor today, urging Congress to make the National Flood Insurance Program (NFIP) more affordable as Louisiana faces another hurricane season. Cassidy emphasized the uncertainty caused by NFIP’s new risk assessment system, Risk Rating 2.0, which has left homeowners unsure if they can afford rising premiums.

"NFIP is a safety net for homeowners after a storm. It protects them from being financially wiped out by a hurricane," said Dr. Cassidy. "However, this year is different from past years for two reasons. First, the National Weather Service predicts that 2024 will see 'above-normal' hurricane activity in the Atlantic and Gulf of Mexico. Second, there is much more uncertainty about whether NFIP will remain affordable."

Cassidy noted that these concerns are not limited to wealthy beachfront properties but affect "hard-working folks who are uncertain whether they will be able to stay in their home because of a decision made with zero input from Congress."

"Every single member of this body has constituents who rely on the National Flood Insurance Program," concluded Dr. Cassidy. "We owe it to them to find a solution to a system that isn’t working."

In January, at Cassidy's request, the U.S. Senate Banking Committee held a hearing on NFIP highlighting the urgent need for congressional action and featuring testimony from a Louisiana witness. Additionally, Cassidy participated in a roundtable hosted by GNO, Inc., and the Coalition for Sustainable Flood Insurance before introducing related legislation.

Cassidy traveled to St. Bernard Parish last August to discuss flood insurance premiums with residents, resulting in an episode of his series "Bill on the Hill."

During his speech, he reiterated his call for Congress to address flood insurance affordability amid predictions of increased hurricane activity and uncertainties surrounding FEMA’s Risk Rating 2.0.

"We’ve seen flooding in states that don’t typically make you think 'flooding,'" said Dr. Cassidy while listing states like Virginia, Missouri, North Carolina among others that have experienced significant NFIP claims since 1978.

He pointed out that many areas affected by flooding have median household incomes below the national average and warned against an actuarial death spiral due to policyholders dropping coverage because it’s unaffordable.

"My team is working on a bipartisan solution that will roll back Risk Rating 2.0 and make flood insurance affordable and accountable again," stated Dr. Cassidy.

Concluding his remarks with an appeal for bipartisan cooperation: "Let me say to my colleagues: come talk to me about it... We owe it to them [constituents] to find a solution."

###